What’s driving edge spending?

With 75% of organisations planning to boost their investments in edge computing in the next two years, we ask what’s spurring them to splash the cash and where and how will this money be spent…

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Three quarters of organisations plan to raise their spending on edge technology by an average of 37% over the next two years according to analyst firm IDC. But what’s driving this increase in investment?

There’s actually a number of factors. Edge computing is being driven by digital transformation and the growth of cloud computing, the internet of things (IoT), artificial intelligence (AI) and machine learning (ML) technologies and the rollout of 5G.

More interactions are now taking place at the edge, and many platforms that use the above technologies need more compute capacity there. Alongside this, the amount of data being stored at the edge is growing, prompting them to move storage and computing resources closer to where the data is being produced, processed, kept and consumed.

“The point of this is to improve the performance of those applications and technologies that need greater computing and storage power by bringing the resources closer to where the action’s taking place,” explains Marcus Torchia, Research Vice President Data and Analytics at IDC.

The benefits of edge computing

Edge computing has become increasingly popular due to the benefits it offers. The primary advantage in the eyes of decision-makers is improved customer and employee experiences through the collection of real-time data and use of AI analysis.

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